Case File

Inside the WorldCom Scam & DHS: Department of Hollywood Scams

Bernard Ebbers, CEO of WorldCom, rises from rags to riches. But the "telecom cowboy" becomes the poster child for everything that went wrong on Wall Street in the 1990's. WorldCom's eventual downfall shakes the financial community and the lives of thousands of investors. And in our second case, Joseph Medawar is a hotshot television producer. He creates a new action packed adventure series based on real life national security cases. Investors fund the project. But there's no show -- only a scam to rob investors out of millions of dollars!

Case 1: Inside the WorldCom Scam

Rags to Riches

He came from nothing and went to the top of the financial world. Bernard Ebbers took a small telephone company and turned it into a telecom giant. As the head of WorldCom, Ebbers was worth billions.

The Lifestyle

The Aquasition, a 132-foot yacht and the largest privately-owned ranch on earth. Bernard Ebbers spared no expense when it came to himself. But the lavish lifestyle put WorldCom investor fortunes in jeopardy.

Billion Dollar Fraud

The outlook for the telecom business turns stormy. WorldCom stock tumbles. Ebbers is asked to resign. But the company hasn't hit rock bottom yet... an internal auditor makes a discovery that shocks Wall Street and the world!

Case 2: DHS: Department of Hollywood Scams

Lights, Camera, Action!

The allure of Hollywood. Promises of an action-adventure series based on cases from the Department of Homeland Security. Producer Joseph Medawar's plans for a new TV series to attract attention... and money. But the show is just a scam to bilk millions out of investors.

Key Player

Dana Rohrabacher. A Congressman and writer with a screenplay. Medawar offers to make his script a movie. A deal is struck. Rohrabacher is also interested in "DHS: The Series" and begins introducing Medawar to many influential figures in Washington, D.C. The con takes on an air of legitimacy.

Curtain Call

The FBI and IRS catch on to Medawar's scam. The con game is about the end, but not before investors are taken for more than $5.5 million. American Greed profiles the case of a Hollywood dream that turned into a nightmare for investors.